When Alan Hevesi became comptroller in 2003, the state Common Retirement Fund had $104 million available in the In-State Private Equity Investment Program.

Three years later, that fund added $321 million in 15 different venture funds.

Venture capitalists give Hevesi credit for making funds available for promising New York ventures.

Hevesi, the sole trustee of the state Common Retirement Fund, made the fund more high-profile.

"It's the biggest and most important job that I have," Hevesi said. Hevesi was center-stage when High Peaks Venture Partners opened for business in Troy in 2003, and when Applied NanoWorks, a Rensselaer-based developer of nanomaterials, and IPLogic, a Latham voice and data systems company, received funding, for example.

He also said that venture funds receiving state retirement fund money must invest in New York companies. It was a stipulation his predecessor, H. Carl McCall, didn't put on venture fund managers.

"For far too long, upstate New York has been underserved by venture capitalists and has missed out on the establishment and expansion of new jobs and new high-tech business opportunities," he said in 2003.

Hevesi is now involved in a scandal. A state Ethics Commission report said Hevesi improperly used a state employee to drive his ailing wife to appointments.

"This was an aberration," Hevesi said, noting that he paid about $83,000 in restitution. "It's bad for anybody to fail, but worse for a comptroller."

However, he doesn't believe the recent problem will hinder him if he were reelected comptroller Nov. 7.

"I'll restore any lack of confidence in me personally," he said.

Ken Yanneck, IPLogic CEO, said he felt bad about recent events.

"I can't believe the vicious spiral that has happened," he said. "I really like the guy. I haven't met that many politicians in my life. Of all that I've met, I had a great feeling from him in terms of what he's in that job to do."

David Waterman, managing director of DeltaPoint Capital Management LLC, a Rochester-based fund with slightly less than $60 million under management, said he would like to see Hevesi continue in his role as comptroller.

The state contributed $22 million to the DeltaPoint, which has made investments in IPLogic.

"Hevesi did a very good job of taking a well-thought-out program and developing it into a major impetus in venture capital investing in upstate New York," Waterman said.

Hevesi said the program won't be hurt by the controversy or hinge on who is the next comptroller.

"I'd love to tell you my opponent [Christopher Callaghan] is not qualified to be comptroller and would kill this program, but I can't say that," the comptroller said. "We've institutionalized it."

Waterman and other venture capitalists agreed.

"I believe the program is important and will survive a change of command," Waterman said. "Whoever's there will see the importance of the program and see it forward."

Bela Musits, a managing director at High Peaks, which manages $46 million, said Hevesi "made the program visible. He made it important to show up at these announcements because the Common Retirement Fund, as a limited partner, was making an investment in these companies."

Musits said the state will keep the program going.

"I think the importance of the program transcends any one individual," he said.